Vietnamese businesses must stay agile to navigate shifting tariff policies, urged Deputy Director of the Ho Chi Minh City Investment and Trade Promotion Centre (ITPC), Cao Thi Phi Van.
Speaking at the 'Vietnam - US Business Connection' seminar on July 10 in Ho Chi Minh City —jointly hosted by ITPC, the US-Vietnam Business Council, and the Association of Vietnamese Professionals and Students in the US—Ms. Van identified product diversification as a cornerstone of Vietnam's export success.
Key sectors such as textiles, electronics, agriculture, and fisheries have all seen substantial growth. Notably, the textile and electronics industries have effectively leveraged Free Trade Agreements (FTAs) to sharpen their competitive edge in the US market
However, Vietnamese enterprises face substantial challenges. Shifts in US trade policies, particularly regarding import tariffs, have placed considerable pressure on Vietnamese exports. Furthermore, US trade defense measures are on the rise, targeting groups such as steel, wood, and agricultural products. The wood industry, a key export sector, saw its turnover to the US decline by 6.5% year-on-year in the first five months of 2026.
Analyzing the value chain, Dr. Huynh The Du, a lecturer at Indiana University and Chairman of the Association of Vietnamese Professionals and Students in the US, highlighted Vietnam’s prospects in capturing supply chain shifts, particularly within the digital economy and semiconductor sectors.
Under the framework of the Comprehensive Strategic Partnership, Vietnam is asserting its position as a strategic link, attracting large-scale technology projects from global giants such as Intel, Apple, Boeing, and Nvidia. Dr. Du stressed that this breakthrough aligns with the national strategic goal of training 50,000 high-quality semiconductor engineers by 2030, providing a powerful impetus for transitioning toward high-value-added industries.
Regarding market entry strategies, Ms. Ionah Hang Nguyen, Director of the Vietnam-US Consulting Network, advised businesses to avoid heavy initial investments before verifying market demand. Instead, she suggested prioritizing niche segments or leveraging the extensive overseas Vietnamese network in the US.
She also introduced the Employer of Record (EOR) model—a method that allows businesses to hire local staff without establishing a legal entity—as an effective way to minimize operational risks and optimize costs during the initial phase.
Speaking online from the US, Ms. Henan Li, Asian Trade Representative for the California Governor’s Office, stated that California remains Vietnam’s largest trading partner among US states, with bilateral trade reaching nearly $60 billion. The state is also home to 36% of the Vietnamese community in the US. The state government continues to support Vietnamese businesses through incentive programs, most notably the California Competes Tax Credit, which is expected to open a new round of applications in July 2026 with a budget exceeding $920 million.
Bilateral trade turnover between Vietnam and the US reached $170 billion in 2025. In the first half of 2026 alone, Vietnam's export turnover to the US hit $86.5 billion, confirming that the US remains Vietnam's largest export market.
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